FTC fines 2 stem cell centers $3.3M for advertising unproven treatments

The Federal Trade Commission filed a complaint against two stem cell clinics in Orange, Calif., for endorsing their treatments for conditions ranging from autism to Parkinson's disease without scientific evidence, according to STAT.

The complaint filed accused the clinics' owner, Bryn Henderson, MD, of implying or telling patients that their treatments helped an array of diseases. Some of the clinic's promotional materials included claims the therapies could using advertisements and promotional materials claiming their stem cell therapy can "reverse autism symptoms" and enable "101-year-old lady once blind for 7 years" to once again see, according to STAT. Dr. Henderson also allegedly described the treatments as better than FDA-approved treatments or those backed by research.

"There are no human clinical studies in the scientific literature showing that amniotic stem cell therapy cures, treats, or mitigates diseases or health conditions in humans," the FTC said in proposed settlement announced Oct. 18.

The FTC is requiring the clinics — Regenerative Medical Group and Telehealth Medical Group — to halt the marketing claims and inform past and future patients of the settlement, according to STAT.

The defendants were also ordered to pay $3.31 million as part of the proposed settlement, which represents the clinics' total sales between 2014-17. However, the FTC said it will suspend that penalty once Dr. Henderson pays $525,000 to the agency.

The clinics charged patients $9,500 to $15,000 for the first round of treatments, according to the complaint. Follow-up treatments costed an additional $5,000 to $8,000.

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